Via Rail CEO Attributes Decline in On-Time Performance to New CN Speed Regulations

Via Rail's performance has sharply declined in the first quarter of this year, with on-time arrivals plummeting to just 30 percent. This significant drop, compared to 72 percent in the same period last year, has raised concerns over the reliability of Canada's passenger rail service—especially as the national carrier attempts to recover from the impacts of the COVID-19 pandemic.

The primary factor cited for these delays is the implementation of new speed restrictions by Canadian National Railway (CN), whose tracks are used predominantly by Via Rail trains. According to Via’s CEO, Mario Péloquin, these restrictions on the Crown corporation’s newest passenger trains along its busiest corridors are both “arbitrary and unnecessary.” He contends that these measures, together with challenges posed by heavy snowfall in February, have severely disrupted passenger service schedules.

Péloquin expressed frustration over the situation, emphasizing that the imposed speed limits have directly contributed to operational difficulties and a noticeable 2.7 percent decrease in ridership. This reduction is especially troubling, marking the first dip in passenger numbers since Via Rail began rebounding from pandemic lows.

In response, CN spokeswoman Ashley Michnowski pushed back on Via Rail’s statements, expressing disappointment that the passenger rail operator “refuses to assume responsibility” for its equipment choices. She suggested that it is not CN’s intent to arbitrarily decelerate trains on its network, but instead implied that safety concerns related to the new train models may be at the root of the imposed speed restrictions.

The operational setbacks have also strained Via Rail’s finances. The company reported that its operating loss before federal funding and income taxes widened to $160 million, up from $151.3 million during the same timeframe a year earlier. The combination of performance challenges, falling ridership, and higher losses signals a challenging period ahead for the national rail operator as it seeks to restore both public confidence and a reliable travel schedule.